TORONTO (miningweekly.com) – In the wake of Tesla Motors’ introduction of the ‘Model 3’ mass-market electric vehicle (EV), lithium development and exploration company share prices have exploded.
This was despite Tesla not having sold (or even built) a single Model 3 yet. Tesla would also not have it on the road for years, and the company continued to haemorrhage money, according to Chris Berry, writer of the Disruptive Discoveries Journal.
“The $1 000 refundable reservation fee is simply a free option for a potential car buyer and gives Tesla an opportunity to defray dilution,” he stated in a recent market commentary. Berry noted that in the wake of this news, lithium developers were “making hay while the sun shines” through some truly impressive capital-raising efforts.